In his latest column, Dr. Steve Yacovelli, (a.k.a. “The Gay Leadership Dude®”) shares his expertise on submitted workplace questions from members of the LGBTQ+ Community. Have a question? See below!
Hey there “Gay Leadership Dude”! There’s a lot of talk lately about organizations cutting back on diversity, equity and inclusion efforts. While my company (a large Fortune 500) hasn’t changed anything yet, I know some big companies like Microsoft have. Should I be worried that the focus on DEI efforts is going away, especially as a queer female employee? ~DEI-DIE?
This is an insanely timely and important question, DEI-DIE?, as it’s not just about those of us who focus on creating more inclusive workplaces for a living, but also those of us from underrepresented minority groups who work IN those same workplaces (like you). To some it seems like every business is too “woke.” This year alone, many organizations have adjusted their focus on DEI initiatives (sometimes drastically):
Zoom cut its internal DEI team and Snap axed employees who focused on retention and engagement efforts for underrepresented groups. Tesla, X, Lyft, DoorDash, Wayfair and Home Depot all cut their DEI teams by at least half. Microsoft laid off its DEI team, citing “changing business needs.” John Deere recently announced it will eliminate almost all its DEI policies in favor of a “quality-based workplace.” Tractor Supply completely eliminated all of its DEI goals and positions after being targeted on social media by a conservative influencer. Eli Lilly removed “DEI” from its annual proxy statement while emphasizing workforce diversity. Molson Coors eliminated the “DEI” acronym and replaced environmental, social and governance goals with “People & Planet” metrics.
And it’s not just companies making changes: the Society for Human Resource Management, a major voice for the HR profession (where a lot of DEI initiatives sit within organizations), recently announced the decision to eliminate the focus on “equity” and just look at “diversity” and “inclusion.” This decision — in what many said was a very “All Lives Matter” tone — shocked the business world and sent a (sad) signal that “equity” isn’t important in creating an inclusive workplace.
Why all the about face, DEI-DIE?? The term “DEI” has taken on a negative connotation due to legal, social and political backlash, and some conservatives consider it to be too “woke.” In 2023 the Supreme Court of the U.S. struck down affirmative action and some business leaders took that as a reason to abandon their DEI efforts. Politicians like the Florida governor (whose name shall not be said) made attacking DEI one of his strategies (and got the Stop WOKE Act passed), and many others followed suit. The current GOP nominee (another name not to be said) recently said Democratic nominee Kamala Harris could be a diversity hire (!).
Why does this matter? To those of us in underrepresented minorities, having an inclusive workplace is a key indicator for our own personal growth (and our psychological safety). But it also makes good business sense. When organizations focus on creating inclusive workplaces they receive:
- Improved Employee Satisfaction. When employees feel they are treated equitably and have a sense of belonging, job satisfaction naturally increases. They’re more likely to stay with the company, reducing turnover and the costs associated with hiring and training new staff. A 2021 study by SHRM found that organizations focusing on equitable practices saw a 41% reduction in employee turnover (ironic given their recent SHRM announcement!).
- Enhanced Innovation. Inclusive workplaces encourage diverse perspectives, which drives innovation. When everyone, regardless of their background, has an equal opportunity to contribute ideas and isn’t afraid to share them, companies benefit from a broader range of solutions and creativity. Research by Deloitte indicates that inclusive workplaces are six times more likely to be innovative and agile.
- Financial Performance. There’s a direct correlation between equity and inclusion in the workplace and financial performance. According to McKinsey & Company, companies in the top quartile for gender diversity on executive teams were 25% more likely to have above-average profitability.
“But if DEI and creating an inclusive workplace is so important, Steve, why is it going away?” you may be asking yourself, DEI-DIE?. Great question! I was recently at the National LGBTQ+ Chamber of Commerce Conference and this was a topic among many of us DEI Consultants: is our profession “going away?” And we concluded that, no: the work of DEI programs isn’t going away but perhaps shifting. While sure, some organizations have either eliminated the DEI function (as we see above), and some are “rebranding” their DEI initiatives with broader concepts like “talent development” and “inclusive culture.” Heck in my business we focus on “consciously inclusive leadership” versus “DEI Programs” for our client-partners but at its core it’s the same work and same outcome: creating that sense of belonging for all employees.
But even more good news is that fact that many organizations are “doubling down” on their focus on creating inclusive workplaces. Folks like Johnson & Johnson, American Express, Intel, Sodexo, The Walt Disney Company, TD Bank, Salesforce, Delta, Marriott and Lockheed Martin (among many others) have reinforced their commitments to inclusive workplaces in light of the DEI “too woke” message.
And these are smart organizations, as I feel the trend actually will reverse itself in the near future. In a recent study done by EY (called the 2024 EY U.S. LGBTQ+ Workplace Barometer), it noted that Gen Z is expected to make up 30% of the total U.S. workforce by 2030. In addition, Gen Zers view diversity and inclusion as non-negotiable areas of importance in their workplace. One study found that 75% of Gen Zs would reconsider applying for a role due to poor DEI efforts of the company. Couple this is yet another study of C-Suite executives where 82% consider DEI efforts as essential to their business strategy (regardless of their personal political leaning). In that report Tammy Halevy, executive director of Reimagine Main Street, says, “It’s not just about being on the right side of public opinion, but on the right side of growth, innovation, and performance in a rapidly evolving business landscape.”
DEI-DIE?, I’d suggest you take a look at the following areas within your respective workplace to get a temperature check on those inclusivity efforts:
-Has the “formal” DEI function within your workplace been moved, eliminated, or reduced (assuming you have one in the first place)?
-Look at where your company stands on supporting their Employee Resource Groups. Has the budget for ERGs and monthly celebrations (like Pride Month) been reduced?
-Are there formal trainings and informal events (like Lunch & Learns) that still focus on DEI topics, even if not specifically labeled DEI?
-Does your workplace have one of its corporate values around inclusivity, and how is that reinforced in performance development plans and other ways?
-What has your senior leadership said (or NOT said) about the continued importance of an inclusive workplace?
DEI isn’t going to D-I-E. However, it may undergo some rebranding at your workplace. But I think we’ll still be trying to find ways for us queer and other marginalized employees to feel that sense of belonging where we work. And if not, maybe it’s time for a change to a place that does value your authenticity and unique way of looking at work, and the world!
HAVE A QUESTION FOR “THE GAY LEADERSHIP DUDE”? Submit @ YourQueerCareer.com. Please note the advice shared is for informational use only, it is not intended to replace or substitute any mental, financial, medical, legal or other professional advice. Full disclosure can be found at the website listed above.